Inheritance tax. What happens now?

[Suffolkmousehole]

Dad's house was valued at 750 k for probate. It's sold for 680k. We are paying IHT in installments. Do I pay the original tax on 750k and claim back. Or do they send me a new tax bill on completion of sale?

I think you need to claim it back. There’s a form IHT38

Yep what PP said. Also be aware of time limits. Details here. https://www.gov.uk/government/publications/inheritance-tax-claim-for-relief-loss-on-sale-of-land-iht38

But I've only paid 2 installments (at the rate of 750k). When I receive the lump sum from the house, do I pay rest of the original amount (based on 750) or ask for a revised amount based on selling price of 680

Don’t you get £500,000 allowance on property?

Yes that's not what I'm asking. I have an IHT tax bill of over ,750 from probate

Sorry I thought you said that money was from the property you inherited.

No problem.